Interstate Hotels & Resorts to Manage the
85-room
Khyber Mountain Resort and Spa in Kashmir, India
Under Development by Pinnacle Resorts to Open Winter 2012

ARLINGTON, Va.,
March 29, 2012—Interstate
Hotels & Resorts
today announced that JHM Interstate India has signed a contract to
manage the
85-room Khyber Mountain Resort and Spa in Kashmir, India. The
all-season
resort, located at the foot of the Himalayas, is being developed by
Pinnacle
Resorts Pvt. Ltd., and is anticipated to open this winter.

“This management agreement represents our seventh signed
hotel in India and we are delighted to be selected as the operator of
this
world-class resort for a new owner,” said Jim Abrahamson, Interstate’s
chief
executive officer. “Khyber Mountain Resort and Spa, situated at
the foot
of the Himalayas in Gulmarg, a well-known ski destination in Asia, will
be a
high-quality, resort that will take full advantage of its prime
location
year-round.

“Our strong partnership with JHM, coupled with our
successful management platform model, international experience, depth
of
resources, and local in-country expertise translate into a significant
competitive advantage. As a result, we have developed a robust
pipeline
of management opportunities for franchised branded hotels and
independent
resorts that will enable us to continue our vigorous growth in
Asia-Pacific in
2012 and beyond.”

“This will be the first major high end address in Gulmarg
and will require a great deal of attention to detail,” said Umar
Tramboo
of Khyber. “Interstate has a substantial history managing resort
properties
and is very familiar with this business model and its unique needs and
requirements. We look forward to working with them and building a
relationship together.”

Khyber Mountain Resort and Spa is located in the renowned
resort area of Gulmarg in Kashmir, regarded as one of the best
year-round
tourist destinations in India and was recently rated one of the top
five ski
destinations in Asia by CNN. The resort is ideally situated next to the
world-famous Gulmarg Gondola and will be the closest hotel to the
gondola in
the area. At 13,000 feet, the gondola
is the highest ski lift in the world, carrying up
to 600 skiers per hour up to the ninth highest peak of the Himalayan
Mountain
Range. In addition to skiing, other popular winter activities
include snowboarding,
sledding and horse drawn sleigh rides. During the spring and
summer, the Gulmarg Valley is blanketed with more than 21 varieties of
wildflowers, earning it the name, “Meadow of Flowers.” Khyber
Mountain
Resort and Spa will offer a host of spring and
summer activities including mountain hiking, gondola rides, mountain
biking, horseback riding, kayaking, rock climbing, trout fishing, white
water
rafting, parasailing, hang gliding, photography safaris, and jeep
excursions. The resort will feature a year-round Activities
Concierge
dedicated to assisting guests with planning activities in the area and
with
those offered at the resort, such as a movie theater and club, Igloo
Kid’s
Club, a ski club and summer activities club.

Khyber Mountain Resort and Spa guest rooms include one-
and two-bedroom cottages with full kitchens and one four-bedroom
Presidential
Cottage. Four food and beverage outlets include Cloves
Restaurant;
Chaikash Tea Lounge; Calabash, a Moroccan cigar and hookah lounge; and
Nouf terrace
lounge. The resort also will have Paradeez gardens and amphitheatre;
retail
outlets; ski shop; Alaya spa and fitness center; indoor pool; and more
than
10,000 square feet of meeting, banquet and event space. For more
information on Khyber Mountain Resort and Spa, please visit: www.khyberhotels.com.

About JHM Interstate Hotels
India Pvt. Ltd.
JHM Interstate Hotels India Pvt. Ltd is a 50/50 joint
venture partnership formed in 2008 between Interstate Hotels &
Resorts,
Inc. and JHM Hotels. It is headquartered near New Delhi, India,
with a
fully staffed Resource Center in Gurgaon, Haryana. The management
team in
Gurgaon provides expertise in all aspects of hotel operations including
sales
and marketing, food and beverage, information technology, human
resources,
construction and design, finance and quality assurance. For more
information, contact Lloyd Lauland, Executive Director, JHM Interstate
Hotels
India, at 91 124 3091700, or visit the company’s website: www.jhminterstate.com

About JHM Hotels
JHM Hotels, Inc., a premier lodging company based in
Greenville S.C., has developed, acquired, owned and operated hotels
throughout
the United States for more than 36 years. The company currently
owns and
operates 43 U.S. hotels with more than 7,500 guestrooms, operating
under such
well-known brands as Marriott, Hilton, Starwood and Hyatt. For
more
information about JHM Hotels, visit the company’s website: www.jhmhotels.com.

About Interstate Hotels &
Resorts Interstate Hotels & Resorts, Inc., a
wholly-owned
subsidiary of a 50/50 joint venture between subsidiaries of Thayer
Lodging and
Jin Jiang, is the largest and leading U.S.-based global hotel
management
company, operating branded full- and select-service hotels and resorts,
conference centers and independent hotels worldwide. Interstate
and its
affiliates manage and/or have ownership interests in nearly 400 hotels
with
more than 70,000 rooms in North America, Europe and Asia-Pacific.
The
Company has ownership in 58 of those hotels, including six wholly owned
hotels. In addition, Interstate has executed agreements to manage
36 hotels with over 6,500 rooms
under construction or development throughout the world. The company’s
global
management platforms provide owners and developers a successful
combination of
large-scale resources, international expertise, owner and brand
relations, and
comprehensive world-class operations.